Peru = World Counterfeit Capital

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Kelly
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Peru = World Counterfeit Capital

Postby Kelly » Fri Nov 26, 2010 8:37 am

How Peru Became the World's Counterfeit Capital http://su.pr/1cgPgP

Back in the 1980s, Peru's government ran the printing presses as an answer to the country's massive economic crisis, but churning out currency only made things worse and hyperinflation topped off at 1.2 million percent by the end of the decade.

The printing presses have returned, but this time it is not the government cranking out bills, and the currency coming out is not necessarily the Peruvian nuevo sol. Some days it is euros, while others it is Venezuelan bolívares fuertes, or Bolivian and Chilean pesos. Most days, however, it is U.S. dollars.

In the past two years, Peru has become the No. 1 distributor of counterfeit currency internationally, according to Kenneth Jenkins, a U.S. special agent in charge of the Secret Service's Criminal Investigative Division. "Approximately $33 million has been seized in Peru since 2009, which is a substantial number," Jenkins told TIME in a telephone interview from Washington. (Read More)


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Re: Peru = World Counterfeit Capital

Postby tomsax » Fri Nov 26, 2010 2:02 pm

Kelly wrote:Back in the 1980s, Peru's government ran the printing presses as an answer to the country's massive economic crisis, but churning out currency only made things worse and hyperinflation topped off at 1.2 million percent by the end of the decade.

The printing presses have returned, but this time it is not the government cranking out bills, and the currency coming out is not necessarily the Peruvian nuevo sol. Some days it is euros, while others it is Venezuelan bolívares fuertes, or Bolivian and Chilean pesos. Most days, however, it is U.S. dollars.

In the past two years, Peru has become the No. 1 distributor of counterfeit currency internationally, according to Kenneth Jenkins, a U.S. special agent in charge of the Secret Service's Criminal Investigative Division. "Approximately $33 million has been seized in Peru since 2009, which is a substantial number," Jenkins told TIME in a telephone interview from Washington. (Read More)


Peruvian ingenuity knows no bounds. I wonder what the quality of the false notes are and how much you guys in Peru have to be careful - if any of you are bothering to buy dollars know. Come to think of it none of you probably are!

Anyway, the first paragraph reminds me of when I was in Peru during the time of hyperinflation in the 1980s. When I used to buy the old Inti bills (usually in very large bundles in exchange for my US$50), I remember reading in the corner of each bill "printed in the UK". It seemed so strange at the time in that there was very little else being imported from my country. I think there was shoe polish and... well I think that was about it. But we had the dubious distinction of exporting bills to Peru that became worthless in under a year.
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Re: Peru = World Counterfeit Capital

Postby Xibalba » Fri Nov 26, 2010 2:15 pm

It's even worse than that.

If you scratch the ground in Peru you find out that you are actually in BOLIVIA! The entire country is counterfeit. Forgotten history says that Pizarro found out when he held a mountain up to the sun and could spot the counterfeit, but he quietly put it down and never told anyone.

On a more serious note, I read somewhere (probably here) that when you exchange money the agent should stamp it with their seal, so if it's counterfeit you know the source. I have never had any of the agents stamp it (and I go to the ,ore prominent exchanges downtown). And if the bills are constantly stamped, doesn't that get confusing? I guess it is legal to mark up currency in Peru?

(I love tracking US dollars through Where's George, but am told that just stamping the WG note on the bill is technically illegal in the US.)

Finally, I have a really good laser printer. Can I become a millionaire?? (JUST KIDDING!!)
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Re: Peru = World Counterfeit Capital

Postby JoshuS » Fri Nov 26, 2010 2:36 pm

Kelly wrote:How Peru Became the World's Counterfeit Capital

Most days, however, it is U.S. dollars.



Why even bother with the dollar :lol:
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Re: Peru = World Counterfeit Capital

Postby Kelly » Fri Nov 26, 2010 2:52 pm

I guess it just proves that there's still a market for it after all.

Before long, the fakes might be worth more than the originals. :wink:
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Re: Peru = World Counterfeit Capital

Postby scott » Fri Nov 26, 2010 3:46 pm

Finally, I have a really good laser printer. Can I become a millionaire?? (JUST KIDDING!!)


Actually they use an AB Dick 360 printing press for US currency, don't know about other currencies. There are a lot of them in Peru.
Visit my blog: http://www.saboraselva.com
Life in the Peruvian Amazon...
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Re: Peru = World Counterfeit Capital

Postby Xibalba » Fri Nov 26, 2010 4:05 pm

scott wrote:
Finally, I have a really good laser printer. Can I become a millionaire?? (JUST KIDDING!!)


Actually they use an AB Dick 360 printing press for US currency, don't know about other currencies. There are a lot of them in Peru.


Feh. Everytime I come up with a fool-proof get-rich-quick scheme, it falls short. Like the time I wanted to sell ice cream to scuba divers from an underwater ice cream parlor.

Or the time I invented mosquito repellent for mosquitoes.
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Re: Peru = World Counterfeit Capital

Postby minnesotasnow » Sun Dec 12, 2010 8:00 pm

While considering a move to Peru, I admitt my uneasiness with the currency. How in the world will I not get ripped off? How does one tell if money is fake there? Once while I was in a store, a nice young man stopped the clerk from giving my counterfeit change. How did everyone in the expat network know what to do about the money problems there?
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Re: Peru = World Counterfeit Capital

Postby scott » Sun Dec 12, 2010 8:26 pm

minnesotasnow wrote:While considering a move to Peru, I admitt my uneasiness with the currency. How in the world will I not get ripped off? How does one tell if money is fake there? Once while I was in a store, a nice young man stopped the clerk from giving my counterfeit change. How did everyone in the expat network know what to do about the money problems there?


http://www.bcrp.gob.pe/billetes-y-monedas.html

Great resource. Read the tips on the boards. Four years, never received a fake note, had a few try, but knowing the currency helps. Biggest problem is trying to change US dollars, the slightest wrinkle, mark or anything that makes them less than prefect and places will not accept them.. Or will at a discounted rate.
Visit my blog: http://www.saboraselva.com
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Re: Peru = World Counterfeit Capital

Postby alan » Mon Dec 13, 2010 10:39 am

Xibalba wrote:It's even worse than that.



On a more serious note, I read somewhere (probably here) that when you exchange money the agent should stamp it with their seal, so if it's counterfeit you know the source. I have never had any of the agents stamp it (and I go to the ,ore prominent exchanges downtown). And if the bills are constantly stamped, doesn't that get confusing? I guess it is legal to mark up currency in Peru?



Some stamp it, others don't; I don´t know if there are legal restrictions on marking them in this way. The stamps are simple rubber stamps, so they are an easy addition to add to a fake bill. I keep a couple fake bills that I received from taxi drivers and have just checked them; one of them has a "casa de cambio" stamp.

The stamps became an issue with US bills earlier this year when banks began to refuse to receive US bills that had more than 5 stamps, or with stamps that were larger than a 10 centimo coin. This was a disposition by ASBANC, which is the banking association. They seem to have back tracked on this. You can imagine the uproar it caused at the time.

Some of the fake bills passed are really quite good; the best way I have found to spot them is to see if the ink used to print the denomination (ex. "20") should change color when you look at it from a different angle. Apart from that, the watermark, the roughness of the bill, the security stripe, are all easy to duplicate.

Cheers,

Alan
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Re: Peru = World Counterfeit Capital

Postby euroman » Wed Dec 15, 2010 1:17 pm

Dollars are useless anyway. It drops value daily. Probably, the fake dollar notes will seen have more value than the real ones.

We live in a Euro world.
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Re: Peru = World Counterfeit Capital

Postby Alpineprince » Wed Dec 15, 2010 1:33 pm

euroman wrote:We live in a Euro world.

JeJeJe!
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Re: Peru = World Counterfeit Capital

Postby Xibalba » Mon Dec 27, 2010 1:51 pm

Grr! Frustrating.

Got reasonably good condition $100 bills from the US bank, but they had slight creases in the center. Other than that they were perfect. Couldn't get them changed because they thought the creases were a sign of counterfeit. Now we are trying to deposit into an dollar account (banks are less fussy) and then withdraw in "cleaner" dollars a little at a time which can then be changed without hassles.

Peruvians need to understand that a well-worn bill is LESS likely to be counterfeit than one that looks like it was just printed!

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